title: Effect of student loan indebtedness and repayment on resident physicians' cash flow. An analytic model.
abstract: Cumulative figures of "average medical student indebtedness," although meaningful, do not convey the effect of loan repayments on residents' cash flow, effect on a resident's value system and residency performance, and effect on trends in health care manpower allocation. Using a computer-based cash flow model, a "typical" house officer with $20,000 in undergraduate indebtedness who is training in a less expensive city will realize a $2390 deficit during internship and negative cash flow throughout a 5-year residency. House officers with extreme indebtedness (greater than $80,000) who are training in an expensive metropolitan area would accumulate an overall deficit approaching $75,000 or more, in excess of their undergraduate indebtedness, during a 5-year residency program. Effects of these findings on residency education and health care manpower issues, along with potential solutions for alleviating residents' cash flow problems, are discussed.
authors.affiliation: Office of Graduate Medical Education and Student Affairs, Texas Tech University, El Paso 79905.
authors.forename: J
authors.initials: J
authors.lastname: Hernried
authors.forename: L
authors.initials: L
authors.lastname: Binder
authors.forename: P
authors.initials: P
authors.lastname: Hernried
mesh_terms: D003198:Computer Simulation; D005382:Financing, Personal / Q000706:statistics & numerical data; D006801:Humans; D007182:Income / Q000706:statistics & numerical data; D007396:Internship and Residency / Q000191:economics*; D012456:Salaries and Fringe Benefits; D014146:Training Support / Q000706:statistics & numerical data*; D014481:United States